Developing sustainability reporting - Case Cargotec - Aaltodoc

SustainAbility (2008) warn that trying to cover everything, reports have tended to become
longer, which can overwhelm readers. Yet the authors note that the lack of an established means
of assessing sustainability information is a problem. As a result, reports often provide “too much
information, too little meaning” (p. 29). Due to all of these challenges, the full potential of
corporate responsibility reporting has not yet been realised (Sullivan 2011).
2.5. Suggestions for effective sustainability reporting
2.5.1. Elements of effective sustainability reporting
Effective sustainability reporting quantifies how the company has performed and what it is
currently doing to address stakeholder concerns, while also describing the company’s future
objectives and how it is planning to achieve them (MacLean & Rebernak 2007). Regarding the
elements to be included, sustainability reporting guidelines often suggest that corporate
responsibility reports should contain a description of the organisation, its sustainability vision, its
objectives regarding sustainability, and indicators that show the performance of the organisation
(Roca & Searcy 2012). According to Brammer & Pavelin (2008), the quality of corporate
environmental disclosure can be assessed through five indicators: whether disclosure discusses
environmental policies, reports specific actions, quantifies environmental impact, sets formal
targets, and is subject to external audit. Somewhat similarly, PwC (2011) focuses on four
indicators while evaluating Finnish corporate responsibility reporting: coverage and balance,
stakeholders, indicators, and independent assurance.
The findings of Vurro & Perrini (2011) indicate that it is import to structure the corporate
responsibility report in a comprehensive way, and extend coverage to various stakeholders and
related issues. According to the authors, sustainability reporting should mirror the diversity and
complexity that characterise the stakeholders of the company. Thus, it is important to use many
different communication channels besides just one annual report in order to develop
comprehensive corporate responsibility communication strategies that enhance trust and value
for the company within its various stakeholder groups (KPMG 2011). Related to the annual
report, PwC (2011) suggests that integrating sustainability issues is another area to be improved;
currently only a couple of Finnish corporations include sustainability figures among their annual
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